Why The Era Of Digital Transformation Is Important For Companies Of All Sizes
Founder/CEO, DeannaMichel, Inc. Passionate about Program Mgmt and Tech. Founded SistersNBloom to fund women’s empowerment initiatives.
The era of digital transformation is here for companies of all sizes and types, from Fortune 500s to startups.
The term refers to companies leveraging enhanced technology to improve their business capabilities, operational efficiencies and ultimately, their customers’ experiences. If companies approach digital transformation in a structured, timely way, they can gain benefits that could give them an improved competitive advantage.
Reducing Time To Market
When companies undergo a digital transformation, they could reduce the time it takes to get their products or services to market.
For example, consider a technology company that’s planning on releasing a new mobile solution to its customers. Historically, it may have been tough for the company to deploy new solutions due to cumbersome, manual and inefficient back-end processes alongside technology infrastructure gaps.
However, if the company invests resources to streamline its operational and deployment deficiencies by leveraging a digital transformation (in this case, automating manual processes), it can deliver continuous incremental value of mobile capabilities to market faster. It could also minimize costs and time by getting customers to use their solution in a quicker, more efficient manner.
Improving Solution Quality
Digital transformations can also improve solution quality along the way with manageable, incremental product releases. For example, think about all the various apps we use. Chances are, we routinely have to update those apps to get the latest enhancements for an improved or more secure user experience.
The companies behind those apps can quickly fix bugs because they’ve streamlined processes to continuously develop and deploy quality, manageable and incremental technical solutions. Their teams also routinely prioritize new features and iterate the current version of their solution by listening to end-user feedback on how to improve future solutions.
Of course, improving solution quality through digital transformation isn’t just for technology companies. Some major retailers, for example, use technology to understand their customers’ buying behaviors. Those retailers can efficiently customize and improve their customers’ shopping experience with scalable, digitized back-end processes.
Revolutionizing Culture In A Positive Way
When companies invest in a digital transformation, they’re signing up for a significant, impactful initiative that can positively support their customers and employees.
For a company to successfully undergo a digital transformation, it must make an effort to cultivate a culture that accepts and encourages innovation. Employees may need to be open to changes in organizational structures and operational processes. Typically, the tenured staff who have been at the company for a longer time usually have institutional knowledge, sometimes with the sentiment that company leaders should primarily value their thoughts and concerns regarding change.
On the other hand, the less tenured staff might be more open about embarking on the progressive operational changes that a digital transformation could entail. Company leadership, along with the newer staff’s openness, could influence their more tenured peers, and the collaboration of all groups would help make the company’s digital transformation efforts a success. Ultimately, once operational efficiencies become more streamlined and automated and the team adjusts to the changes, work life can become easier and more enjoyable for everyone.
How Companies Can Start Accomplishing Digital Transformation
The path to a digital transformation will look different for every company because every company has unique needs and goals. However, foundationally, a key component to a digital transformation includes transitioning to an Agile mindset.
According to a McKinsey report, the five hallmarks of Agile organizations are:
• Strategy: There is a “North Star embodied across the organization”
• Structure: They have a “network of empowered teams”
• Process: There are “rapid decision and learning cycles”
• People: They have a “dynamic people model that ignites passion”
• Technology: They have “next-generation enabling technology”
When companies manage their projects with agility, they can deliver incremental, high-value, continuous solutions to their customers — while building happier, more productive teams internally and gaining the benefits of improving operational efficiencies every step of the way!
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